NEW YORK (AFP, REUTERS) - Netflix, a global streaming entertainment service, top accounting firms KPMG and PwC and financial services firm American Express on Sunday (March 6) cut ties with Russia as that country’s conflict with Ukraine escalated.
Netflix has suspended its service in Russia, a company spokesman said.
Earlier this week, Netflix temporarily stopped all future projects and acquisitions in Russia as it assessed the impact of Moscow’s invasion of Ukraine.
“Given the circumstances on the ground, we have decided to suspend our service in Russia,” the Netflix spokesman said.
The announcements on Sunday follow a number of other Western companies, including sneakers maker Nike, Sweden’s home furnishing retailer Ikea and French luxury giants LVMH, Hermes and Chanel, who have closed shops or offices or ceased operations.
American Express said Sunday it is suspending its operations in Russia and Belarus over Moscow's "unjustified" attack on Ukraine.
"In light of Russia's ongoing, unjustified attack on the people of Ukraine, American Express is suspending all operations in Russia," the company said in a statement, noting that American Express cards will no longer work at merchants or ATM money machines in Russia.
"We are also terminating all business operations in Belarus," it added.
In addition to blocking usage of globally issued Amex cards in Russia, "cards issued locally in Russia by Russian banks will no longer work outside of the country on the American Express global network", the company said.
The move follows card payment titans Visa and Mastercard, which had announced Saturday they will suspend operations in Russia.Two of the Big Four accounting firms KPMG and PricewaterhouseCoopers LLP (PwC) said on Sunday they will no longer have a member firm in Russia due to the country’s invasion of Ukraine.
The auditing and consultancy giant KPMG said its Russia and Belarus firm will leave the KPMG network, a move that will affect over 4,500 partners and staff in Russia and Belarus.
PwC also agreed PwC Russia will leave its network.
The firm has operated in Russia for more than 30 years, and has 3,700 partners and staff there, it said.
“As a result of the Russian government’s invasion of Ukraine we have decided that, under the circumstances, PwC should not have a member firm in Russia and consequently PwC Russia will leave the Network,” PwC said.
As government and corporate sanctions have taken effect, the Russian rouble has crashed to a record low, forcing the central bank in Moscow to more than double its key interest rate to 20 per cent.
Russian President Vladimir Putin has banned residents from transferring money abroad.
The impact of the invasion has rippled through the global economy, with a barrel of oil now selling for close to US$120, while prices for grains, some metals and other commodities exported by Russia and Ukraine are surging.
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